70. Limited company may have directors with unlimited liability.
(1)In a limited company the liability of the directors or of any director may, if so provided by the memorandum, be unlimited.(2)In a limited company in which the liability of any director is unlimited, the directors of the company (if any) and the member who proposes a person for election or appointment to the office of director shall add to that proposal a statement that the liability of the person holding that office will be unlimited and the promoters and officers of the company, or one of them, shall before the person accepts the office or acts therein, give him notice in writing that his liability will be unlimited.(3)if any director or proposer makes default in adding such a statement, or if any promoter or officer Of the company makes default in giving such a notice, be shall be liable to a fine not Exceeding one thousand rupees and shall also be liable for any damage which the person so elected or appointed may sustain from the default, but the liability of the person elected or appointed shall not be affected by the default.
